2025 State of Small Business Survey: Surge in AI, cybersecurity and social media demand

Rhea-AI Summary

Verizon Business's 2025 State of Small Business Survey reveals significant technological adoption among SMBs. 47% of SMBs upgraded their cybersecurity solutions, while 38% are actively using AI across various business functions. The survey, conducted by Morning Consult with 600 U.S. SMBs, shows 76% of businesses agree that social media positively impacts their performance, with 58% now present on TikTok. AI adoption is expanding, with 28% using it for marketing and social media, 24% for written communications, and 25% for cybersecurity. Notably, 56% believe AI can help address employee management challenges. However, 54% struggle with maintaining fresh online content and keeping up with social media trends. The survey highlights SMBs' growing focus on digital transformation, with increased investment in technology solutions for security, operations, and customer engagement.

Positive

• 47% of SMBs invested in improved cybersecurity solutions
• 38% of SMBs are actively using AI across multiple business functions
• 76% report positive business impact from social media presence
• 58% of SMBs have expanded to TikTok platform
• Multiple AI applications adopted: 28% for marketing, 24% for communications, 25% for cybersecurity

Negative

• 54% of SMBs struggle with maintaining fresh online content
• 25% of SMBs believe they're not investing enough in cybersecurity
• 52% acknowledge increased cyber threat risk with business growth

Verizon Business data reveals SMBs expanding tech skills and leveraging AI for everything from social media strategies to workplace hiring

What you need to know:

• Nearly half (47%) of SMBs updated their cybersecurity solutions to further protect their business. More than a third (38%) are actively using AI across multiple business functions, such as data analysis, marketing and customer service.
• Over 56% of SMBs believe AI can help address issues with employee management and overall employee headcount.
• 3 in 4 (76%) of SMBs agree that social media positively impacts their business performance.
• But more than half (54%) of SMBs struggle to keep online content fresh and stay up to date with social media trends.

NEW YORK, May 20, 2025 (GLOBE NEWSWIRE) -- Verizon Business today announced the findings of its sixth annual State of Small Business Survey, conducted by Morning Consult. The report shows small and medium-sized businesses (SMBs) are aggressively adopting technology to drive market growth and operational efficiency. The surge is fueled by increasingly accessible artificial intelligence (AI) and content creation tools, empowering SMBs to expand their marketing and sales capabilities and reach new markets.

Social media is a critical driver, with 58% of SMBs now on TikTok, while 38% are actively integrating AI into their operations. This isn't just a trend; it's a fundamental transformation of how SMBs compete and thrive in the modern digital economy.

“Small business owners are entering a new chapter of digital business with the rise of AI,” said Aparna Khurjekar, Chief Revenue Officer, Business Markets and SaaS, Verizon Business. “At Verizon, we are committed to supporting our SMB community in navigating their business through the latest technology to help deliver growth and protect their assets from emerging cyber threats.”

Based on responses from 600 SMBs in the United States, the State of Small Business Survey identified the following key findings and insights:

• Upgrading technology solutions for new ways of doing business. In the last year, almost half of small businesses (47%) implemented new technology platforms to bolster security for their increasingly digital operations. Social media continues to be a leading customer engagement tool among SMBs, with more than three in five decision-makers either launching content creation initiatives or increasing their investment in content creation during the past year.
  
  
• AI adoption spreads in new ways. Today, 38% of SMBs are leveraging AI in one capacity or another. More than a quarter (28%) are using AI for marketing and social media, while 24% are using the technology for written communications. Nearly a quarter use AI to power digital personal assistants that can help them with customer service. Another 25% are using AI to boost their cybersecurity efforts. Meanwhile, SMBs are exploring AI for employee recruitment and retention, with 56% believing AI can help their business offset any pain points caused by reduced or frozen headcount and another 53% believing AI can help the business retain current staff.
  
  
• SMBs turn to AI to help with employee management strategies. While more than two-thirds of decision makers surveyed believe employees need to be in-person for the business to function, they are turning to AI for support in navigating this new workforce. Nineteen percent (19%) of SMBs are using AI for recruitment and talent sourcing, and 56% believe AI can help their business offset any pain points caused by reduced or frozen headcount. More than half (53%) believe AI can help the business retain current staff.
  
  
• Growing importance of cybersecurity. More than half of SMBs (52%) acknowledge that business growth likely increases the threat of cyberattacks on their business. Nearly half of the respondents (47%) invested in technologies to improve cybersecurity in the last year. A quarter of SMBs don’t believe their business is investing enough.
  
  
• Content for social media continues to be king. Over the past year, SMBs have leaned heavily on social media as one of their leading customer outreach tactics. Facebook remains the number one most popular platform for these businesses, and 76% agree that social media positively impacts their business. A whopping 58% of them are on TikTok.
  

As technology continues to evolve and become increasingly more accessible, many SMBs understand the vital importance of embracing the role of technology to grow and protect their business in this new era of digital transformation through AI.

Visit our website to view the complete survey findings.

For more information on Verizon’s Small Business Solutions, visit https://www.verizon.com/business/solutions/small-business/.

Verizon Communications Inc. (NYSE, Nasdaq: VZ) powers and empowers how its millions of customers live, work and play, delivering on their demand for mobility, reliable network connectivity and security. Headquartered in New York City, serving countries worldwide and nearly all of the Fortune 500, Verizon generated revenues of $134.8 billion in 2024. Verizon’s world-class team never stops innovating to meet customers where they are today and equip them for the needs of tomorrow. For more, visit verizon.com or find a retail location at verizon.com/stores.

Media Contact:

Carly Sylvester
carly.sylvester@verizon.com

Tessa Giammona
tessa.giammona@verizon.com

FAQ

What percentage of SMBs are using AI according to Verizon's 2025 survey?

According to Verizon's 2025 State of Small Business Survey, 38% of SMBs are actively using AI across multiple business functions, including data analysis, marketing, and customer service.

How many small businesses are using TikTok in 2025?

According to the Verizon survey, 58% of small and medium-sized businesses (SMBs) are now present on TikTok.

What are the main cybersecurity findings from Verizon's 2025 SMB survey?

The survey found that 47% of SMBs implemented new cybersecurity solutions, 52% acknowledge increased cyber threats with business growth, and 25% believe they're not investing enough in cybersecurity.

How are small businesses using AI for employee management in 2025?

19% of SMBs are using AI for recruitment and talent sourcing, while 56% believe AI can help offset headcount-related challenges, and 53% think AI can assist with staff retention.

What percentage of SMBs report positive impact from social media?

76% of SMBs agree that social media positively impacts their business performance, though 54% struggle to keep online content fresh and stay current with social media trends.